http://fr.droidcon.com/2014/agenda/ http://fr.droidcon.com/2014/agenda/detail?title=Maximize+App+engagement+and+monetization Learn how you can turn your app into a business. Discover the different mobile apps monetization models and trends. Speaker : Jean Maisonnial, Google Jean has been working at Google for more than 3 years. He is a Mobile Apps Consultant and works with French developers to help them to grow, distribute and monetize their apps.

1. Maximize App Engagement
and monetization
Jean Maisonnial
Mobile Apps Consultant
Droidcon, Paris 2014

2. Introduction
Build your app
Grow your
audience
Engage users
Monetize

3. 1 Billion active Android users
1B

4. 60%
Mobile share of U.S.
Digital Media Spent
Time (june 2014)
Mobile momentum

5. The worldwide market for Google Play downloads
continues to grow rapidly
Worldwide quarterly
Google Play app downloads
Indexed
Downloads 1.5x
year on year Quarterly app downloads
from Google Play
grew approximately
150%
from Q1 2013 to Q1 2014

6. Revenue is soaring, outpacing download growth
Worldwide quarterly
Google Play app downloads
Indexed
Revenue
2.4x
year on year
Google Play quarterly app
revenue more than doubled
from Q1 2013 to Q1 2014
Growth in Google Play
downloads and revenue
presents an expanding
opportunity for app publishers

7. A growth driven by the gaming industry
3 out of 4 Android users are playing game

8. An increasingly competitive industry

9. How to turn your app into a sustainable business
Monetize
earn more from ads and
in-app purchases
Promote
grow more by showing your ads
across our vast network of apps
Analyze
know more with the power
of Google Analytics
Google Confidential and Proprietary

10. How to leverage app monetization
Understand your
audience
Grow IAP
revenue
Maximize ad
revenue
Google Confidential and Proprietary

11. UNDERSTAND YOUR AUDIENCE

12. Understand your audience
Learn from your users
Data loads instantly,
so you can take action
immediately
Discover your high value
users when you build
custom segments
Understand the
journey users take in
your app
Measure in-app purchase
revenue
Google Confidential and Proprietary

13. Understand your audience
Google Play Referral Flow

14. Understand your audience
Engagement Flow

15. Installations
LTV
Optimisation Engagement
Understand your audience
Monitor the Life Time Value

16. GROW IAP REVENUE

17. Monetization models
Freemium
User pays for
additional features
In App
Purchases
User purchases
virtual goods within
the apps
Paid downloads
User pays to download
the app
Advertising
User click and
interact with ads

18. Grow IAP Revenue
IAP takes a big share of app revenue
In-app spending dominates total gaming spend, averaging 91% across
these four markets. However…
Google Confidential and Proprietary Source: Google AdMob and Park Associates, October 2013

19. Killer Whales
1% mobile gamers
Spend >$50 per month
700k NA gamers
Avg. Month Spend. $68.27
Whales (including Killer Whales)
3% mobile gamers
Spend $25 – $49.99per month
2.5MM NA gamers
Avg. Month Spend. $29.37
Dolphins
16% mobile gamers
Spend $5 – $24.99 per month
14.3MM NA gamers
Avg. Month Spend. $8.15
Grow IAP Revenue
Non-payers
37% mobile gamers
Spend $0 per month
31.3MM NA gamers
Minnows
43% mobile gamers
Spend $0.01 – $4.99 per month
35.3MM NA gamers
Avg. Month Spend. $0.94
Mobile spend per month ($)
2–6% of users drive 95% of IAP purchase value
$140
$120
$100
$80
$60
$40
$20
$0
40% 30% 20% 10% 0%
Percentage of Mobile Games
Mobile spending is based on a
power curve in which a small
percentage of hardcore
consumers spend exponentially
more money than others.
“Only 5%
of our users buy IAP”
Google Confidential and Proprietary

20. Grow IAP Revenue
Hybrid model of ads + IAP = success
Our most successful gaming
partners are getting the most
out of their users by combining
different business models
Revenue indexed
Google Confidential and Proprietary Sources: Google Internal, App Annie

21. Grow IAP Revenue
In-app purchase ads, step 1: Find premium users
Played the
game in the
last 24 hours
Paid for an item
in your game
previously
Google Confidential and Proprietary

22. Grow IAP Revenue
In-app purchase ads, step 2: convert premium users
User plays User fails Sell item

23. Grow IAP Revenue
In-app purchase ads: casual users
User plays User fails Show ad

24. Gamebasics have built a
successful hybrid model.
75% of revenue comes from
IAP, 25% from ads
Grow IAP Revenue
Google Confidential and Proprietary
• Clicking away 3 ads
opens prompt to “Buy
Premium Matches”
with no ads
• 75% in IAP, 25% in
in-app ads with
AdMob
• F2P
• 90%+ non payers

25. MAXIMIZE AD REVENUE

26. CPC
Fill Rate
CTR
RPM
Impressions
Maximize Ad Revenue
Know your app’s KPIs

27. Maximize Ad Revenue
The limits of basic ad mediation
Network 1 Network 2 Network 3 Network 4 Network 5
$3.25
$2.75
$2.25
$1.75
$1.25
$0.75
$0.25
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Google Confidential and Proprietary

28. Maximize Ad Revenue
Ad Network Optimization + Live CPM
CPM: $4.20
Network A
Network B
Network C
Network D
Network E Network D
Network 1
Network 2
Network 3
Network 4
Google
Demand
CPM: $4.60
Ad Network Optimization Live CPM
Network A
Network B
Network C
Network D
Google
Demand
Free tools to grow your revenue effortlessly
Google Confidential and Proprietary

29. Maximize Ad Revenue
Video Picture Text
Flexible ad formats give you
more choices and help you
strike a balance between
content and ads
Google Confidential and Proprietary

30. Maximize Ad Revenue
“Smart” detection of
device width and
orientation consistently
deliver ads that fit the
screen
Smart banners

31. Interstitials have 5X the CTR of banners
Global average CPM of $2.75
Maximize Ad Revenue
Google Confidential and Proprietary

32. Promote
your app
Google Confidential and Proprietary

33. Promote your app
More downloads = better ranking = more downloads
Downloads / day
Radio Skol – High Ranking Delivers Audience
Ranking in free app store Downloads Rankin
g
Google Confidential and Proprietary

34. Promote your app
Jumpstart your user base with house ads
Active users Time
App A
App B
Google Confidential and Proprietary

35. Promote your app
Create direct deals with house ad impression goals
Set impression limits on
house ad campaigns
within your app
Supplement your income
with controlled
campaigns from other
app developers
Google Confidential and Proprietary

36. To wrap up
Understand
your audience with
Google Analytics
Grow
in-app purchase revenue with
targeted campaigns through
In-App Purchase Ads
Maximize
ad revenue with Ad Network
Optimization and Live
CPM, giving you access
to real-time demand
Google Confidential and Proprietary

37. The App Developer Business Kit
Learn how to grow your app idea into a successful business.
Consumer research in key markets to
unlock the secrets of building a great app
The latest case studies and best practices
Interviews with app developers and established
industry figures.
Resources
Google Confidential and Proprietary
Find it at: www.google.
com/admob

38. Thank You. Questions?